KCP announces punishment of MDFI scam accused
Source: Chronicle News Service
Imphal, January 02 2023:
After thorough deliberation on the overall impact of the MDFI Ponzi scam, the Politburo Standing Committee of Kangleipak Communist Party (KCP) has declared mastermind Md Nurul Hague and co-culprits Khagokpam Jogeshwari Devi and Nongmaithem Sharmila Devi guilty of ruining lives of thousands of innocent people.
The outfit also announced that mastermind Nurul Hague and co-culprits Jogeshwari and Sharmila will be awarded severe punishment at the earliest possible opportunity.
If found guilty of involvement in the Ponzi scam, the mastermind s father-in-law namely Khagokpam Kham ba Singh and brother-in-law Khagokpam Naoba Singh shall also be awarded severe punishment at the earliest opportunity, declared a KCP statement issued by its deputy secretary of information & publicity relations department M Punshiba Meitei.
It also said that any staff member of MDFI or relative of the mastermind who shows unwillingness to cooperate in the party's investigation into the Ponzi scam shall be given punishment with the prior knowledge and approval of the Politburo Standing Committee.
Sharing details of the outfit's investigation into the Manipur Development Financial Investment (MDFI) Ponzi scam to the people, the KCP said that 'Kangleipak' has been severely struck by two major disasters in recent years.
One is the Covid pandem ic and the other is the wave of Ponzi scams, which affect thousands of innocent people.
Though the exact intensity of all those scams put together is anybody's guess, the outfit's survey-based broad estimation throws up a figure of around Rs 2,250 crore involving five so-called financial institutions.
Considering the mindboggling proportions of the Ponzi scams, the Politburo Standing Committee of the party decided to undertake a thorough investigation into one of those five scams, namely, Manipur Development Financial Investment (MDFI), which is a classic case of the infamous ponzi scam and the investigation was assigned to the party's home secretary Thouba Mangang.
After undertaking a yearlong painstaking investigation into the scam being run in the name of MDFI headquartered at Keishampat Keisham Leikai, Imphal, it has been found that MDFI is a multi-crore financial scam being masterminded in the quintessential manner of the notorious ponzi scheme by Khunlakpam Nurul Hague alias Md Nurul Hague alias Kh Sanayaima as its unofficial managing director and chairman with the connivance of Nongmaithem Sharmila as the official managing director and other unidentified/ identified co-culprits.
The investigation also found out that MDFI is not in the list of Non-Banking Financial Companies of the Reserve Bank of India (RBI) nor registered under any provisions of the regulatory framework of RBI.
Even though MDFI was purportedly registered (240/m/bml/2017) under the Bombay Money Lenders Act, 1946, it was repealed by the Government of Maharashtra as per Ordinance No 1, dated 16/01/2014.The domain experts whom the investigation team consulted have unanimously opined that given its non-registration with the RBI as one of the Non-Banking Financial Companies, MDFI has been operating outside the relevant regulatory framework of India and hence absolutely illegal even in the Indian legal context, the KCP statement said while detailing the investigation report.
The report further said that an estimated Rs 375 crore has so far been reported to have been deposited into numerous accounts of MDFI.
MDFI operates about 26 branches in Manipur and also set up subsidiaries in Shillong (Meghalaya), Guwahati (Assam) and Kolkata (West Bengal), which are supposedly registered under the Ministry of Corporate Affairs, Government of India.
But these subsidiaries are being used to carry on the ponzi scheme in the host states too.
The names of the subsidiaries are Hallmark Commerce Private Limited and Manipur Finance and Investment Limited.
There is strong evidence that some top officials of the government of Manipur have deliberately acquiesced in or turned a blind eye to this long-running multi-crore ponzi scam in return for financial kickbacks periodically paid by the mastermind.
The mastermind of the ponzi scam claims to be a chartered accountant.
But his name has not been found in the official directory of the Institute of Chartered Accountants of India, which enters the details of every chartered accountant of India.
The modus operandi of the mastermind/unofficial managing director is to recruit educated unemployed people by offering handsome salary packages through employment ads and then mislead them into wooing potential investors with the promise of big incentives for them and healthy returns for investors.
Indeed, the mastermind would set a deposit target for every recruit and pressurize them to meet the deposit targets set by him under pain of dismissal or forced redundancy, the outfit added.
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